New Issue: RBC sells $4.00 million capped buffer gears linked to S&P 500

By Marisa Wong

Los Angeles, July 6 – Royal Bank of Canada priced $4,003,800 of 0% capped buffer gears due June 30, 2022 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the index return is greater than zero, the payout at maturity will be par of $10 plus 2 times the index return, capped at par plus 18.75%. Investors will receive par if the index declines by 10% or less and lose 1% for every 1% that the index declines beyond 10%.

UBS Financial Services Inc. and RBC Capital Markets, LLC are the agents.

Issuer:	Royal Bank of Canada
Issue:	Capped buffer gears
Underlying index:	S&P 500
Amount:	$4,003,800
Maturity:	June 30, 2022
Coupon:	0%
Price:	Par of $10
Payout at maturity:	If the index return is greater than zero, par plus 2 times the index return, capped at par plus 18.75%; par if the index declines by 10% or less; 1% loss for every 1% decline beyond 10%
Initial index level:	3,083.76
Downside threshold:	2,775.38, 90% of initial level
Pricing date:	June 25
Settlement date:	June 30
Agents:	UBS Financial Services Inc. and RBC Capital Markets, LLC
Fees:	2%
Cusip:	78014K774

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